Fayette County coal mine to close

Published: Friday, March 22, 2013 at 3:30 a.m.

Last Modified: Thursday, March 21, 2013 at 10:24 p.m.

Walter Energy Inc. is closing its North River Mine in Fayette County.

The Hoover-based coal and energy company laid off 131 miners at the underground coal mine last Friday. Company spokesman Dennis Hall said 80 of those miners will be offered jobs at Walter Energy's underground mines in the Brookwood area — Jim Walter No. 4 and Jim Walter No. 7.

“It was scheduled to be closed by summer 2014,” Hall said, “but the economic conditions indicated it was best to do it now.”

The mine had about 308 employees, and the closing was expected.

The mine's remaining employees will work on closing the mine, a process that will involve removing equipment and securing the facility. Once that is done, the mine's entrances will be permanently sealed. Hall said he did not know how long that would take.

The mine was opened in 1974 by the old Republic Steel Co. and later had several owners, including Pittsburg & Midway Coal Co., and Chevron Corp., which sold the mine to Walter Energy three years ago.

At the time of the sale, Walter Energy said the mine was nearing the end of its life and had about four years of coal reserves left.

“Forty years is a long life for any coal mine,” Hall said of the mine, which produced a type of coal burned mostly by electric power plants.

When Walter Energy bought the North River Mine, it also acquired from Chevron the leases for more than 68 million tons of unmined coal mostly in Tuscaloosa County near the Fayette County line.

Last year, Walter Energy announced plans to build a new mine, Blue Creek Energy Mine, in northern Tuscaloosa County near the Fayette and Walker county lines to mine those coal reserves, which lie mostly in Tuscaloosa County.

The construction of the mine and related terminals, railway and port facilities represents a $1.2 billion investment by Walter Energy. That mine is slated to open in 2018 or 2019 and will employ about 450 people.

The Blue Creek Mine will produce a metallurgical coal, a higher grade of coal that is used to make steel.

Walter Energy said it plans to mine 3 million to 4 million tons of coal when Blue Creek Energy Mine opens, and that the mine's coals reserves should last more than 40 years.

<p>Walter Energy Inc. is closing its North River Mine in Fayette County.</p><p>The Hoover-based coal and energy company laid off 131 miners at the underground coal mine last Friday. Company spokesman Dennis Hall said 80 of those miners will be offered jobs at Walter Energy's underground mines in the Brookwood area — Jim Walter No. 4 and Jim Walter No. 7.</p><p>“It was scheduled to be closed by summer 2014,” Hall said, “but the economic conditions indicated it was best to do it now.”</p><p>The mine had about 308 employees, and the closing was expected.</p><p>The mine's remaining employees will work on closing the mine, a process that will involve removing equipment and securing the facility. Once that is done, the mine's entrances will be permanently sealed. Hall said he did not know how long that would take.</p><p>The mine was opened in 1974 by the old Republic Steel Co. and later had several owners, including Pittsburg & Midway Coal Co., and Chevron Corp., which sold the mine to Walter Energy three years ago.</p><p>At the time of the sale, Walter Energy said the mine was nearing the end of its life and had about four years of coal reserves left. </p><p>“Forty years is a long life for any coal mine,” Hall said of the mine, which produced a type of coal burned mostly by electric power plants.</p><p>When Walter Energy bought the North River Mine, it also acquired from Chevron the leases for more than 68 million tons of unmined coal mostly in Tuscaloosa County near the Fayette County line. </p><p>Last year, Walter Energy announced plans to build a new mine, Blue Creek Energy Mine, in northern Tuscaloosa County near the Fayette and Walker county lines to mine those coal reserves, which lie mostly in Tuscaloosa County.</p><p>The construction of the mine and related terminals, railway and port facilities represents a $1.2 billion investment by Walter Energy. That mine is slated to open in 2018 or 2019 and will employ about 450 people.</p><p>The Blue Creek Mine will produce a metallurgical coal, a higher grade of coal that is used to make steel.</p><p>Walter Energy said it plans to mine 3 million to 4 million tons of coal when Blue Creek Energy Mine opens, and that the mine's coals reserves should last more than 40 years.</p>